Louisville Family Law®

Financial protection in the middle of a divorce

Financial protection in the middle of a divorce

Posted By
Louis P. Winner

While all divorces in the United States, including those in Kentucky, lead
to a breakdown of the family structure, many also have grave repercussions
for a person's finances. In cases in which only one of the spouses
was the breadwinner, financial matters relating to property division and
alimony become complicated. This has led many people to consider prenuptial
agreements before they get married.

It might be an uncomfortable conversation for one future spouse to have
with the other spouse before the wedding, but prenuptial agreements may
be rather beneficial. It is a sad reality in the United States that divorce
rates are rather high, with approximately 45 to 50 percent of the first
marriages breaking up. In light of such a grim reality, creating an official
document to protect the couple from financial problems in the event of
a divorce may be necessary.

It may be especially important if only one of the spouses earns an income
or has accumulated a lot of wealth prior to the marriage. It may also
help the couple in the event that one of the spouses has incurred a lot
of debt. The document would protect one spouse from being compelled to
part with their hard-earned money in either scenario.

Financial issues can often lead to disputes in the marriage. In such cases,
it might be best to keep the financial obligations separate for the couple.
For example, maintaining separate bank accounts or taking care of individual
financial obligations for the maintenance of the marital home may be a
good idea that can be stated in the prenuptial agreement itself.

It may be wise to get the help of a legal professional in such a case.
The prenuptial agreement will not only separate one spouse's assets
from the other, but also will organize all obligations, even if one of
the spouses does not work outside of the home. Furthermore, the spouses'
goals relating to savings per year in case of emergencies also may play
a factor in determining financial obligations. A prenuptial agreement
may be extremely helpful in times of need.